Earlier quoted context omitted.
no idea of $ but say they'd get 5000€ a month (quite OK for most places europe), the company would need to pay out a bit more here (for some tax/social benefit things), 7000€ would be pretty realistic, so 4 developers could be hired. This then means that while op wouldn't immediately add 1M ARR, the original dev and the new devs could soon add 5M ARR (stupid extrapolation, it won't be as much in practice, at least no…
Please note that in many places 5k€/month is a huge sum of money for a salary. Even in western Europe, and in France more specifically, many devs i know are payed 1-2x minimum wage (i don't know a single IT person earning 5k€/month although i'm aware they exist). In France, minimum wage is about 1500€/month (before taxes), to which you add about as much professional taxes and contributions from the employer. Accordin…
In France a young developer easily costs €100k/year to employ, even if he earns a third of that before taxes.